Overcoming Prohibitions and Restrictions Imposed by «Unfriendly» Countries in Private International Maritime Law

The anti-Russian «sanctions» have led to the need for Russian business entities to use offshore companies to organize maritime transportation and the sale of petroleum products. From the point of view of private international law, these actions can be qualified as a special case of circumvention of law. In unfriendly countries, circumvention of anti-Russian «sanctions» is seen as an attempt to circumvent overriding mandatory rules (prevailing imperative provisions). The concept of the «shadow» fleet lacks a clear statutory definition, despite being referenced in the «sanctions» acts of unfriendly countries. The absence of a definition facilitates abuses by foreign regulators against vessels controlled by Russian entities. To overcome illegal «sanction» restrictions in international settlements for maritime transportation and cargo sales, Russian entities are forced to utilize multi-layered ownership structures for vessels through foreign jurisdictions and new payment instruments, which are wholly or partially subject to foreign legal systems. Due to the large-scale «sanctions», the theory of circumvention of law in private international law has acquired substantial empirical material that requires serious theoretical analysis.

1. Baskind E, Osborne G, Roach L. Commercial Law. 3rd ed. Oxford University Press; 2019.

2. Chu Y. Research on Evasion of law in Private International Law. BCP Social Sciences & Humanities. 2023;21.

3. Available at: https://bcpublication.org/index.php/SSH/article/download/3811/3719/3688 [Accessed 01.11.2025].

4. Grishin GV. New London clauses on cargo insurance. Yuridicheskaya i pravovaia rabota v strakhovanii. 2009;2. (In Russ.).

5. Kholopov KV. Private International Law: Analysis of the norms of international and Russian transport law. A study guide. Moscow: Statut Publ.; 2010. (In Russ.).

6. Makeev N. Russia creates a shadow tanker fleet to circumvent oil sanctions. Available at: https://www.mk.ru/economics/2022/10/25/Rossiya-sozdaet-tenevoy-tankernyy-flot-dlya-obkhoda-neftyanykh-sankciy.html [Accessed 01.11.2025]. (In Russ.).

7. Santorik SE. Deoffshorization of the Russian shipping business. Risks and prospects for the merchant fleet.

8. Available at: https://cyberleninka.ru/article/n/deoffshorizatsiya-rossiyskogo-sudohodnogo-biznesa-riski-i-perspektivy-dlya-torgovogo-flota [Accessed 02.11.2025]. (In Russ.).

9. Szabados T. Economic Sanctions in EU Private International Law. Oxford: Hart Publishing; 2019.

10. Tenishev A. How do we break the transport blockade. Available at: https://www.vedomosti.ru/opinion/articles/2022/05/05/920928-prorvat-transportnuyu-blokadu [Accessed 02.11.2025]. (In Russ.).

11. Urry J. Offshore companies. Moscow: Delo Publ.; 2017. (In Russ.).